Professional Documents
Culture Documents
LTD - Case Doctrines
LTD - Case Doctrines
NAGUIT margining a body of water (as a lake or stream); the part of a seashore
Naguit filed a petition for registration of land to confirm her imperfect title. between the low-water line usually at the seaward margin of a low-tide
OSG opposed. Sabi naging disposable lang daw only on Oct. 1980. OSG terrace and the upper limit of wave wash at high tide usually marked by a
suggests an interpretation that the alienable and disposable character of beach scarp or berm.(Webster's Third New International Dictionary)
the land should have already been established since June 12, 1945 or
earlier. Wrong! Section 14 (1) merely requires that the property sought to The duty of the court is to interpret the enabling Act, RA 1899. In so doing,
be registered be already alienable and disposable at the time the we cannot broaden its meaning; much less widen the coverage thereof. If
application for registration of title is filed. Requisites for the filing of an the intention of Congress were to include submerged areas, it should
application for registration of title under § 14(1) have provided expressly. That Congress did not so provide could only
• That the property in question is alienable and disposable land of signify the exclusion of submerged areas from the term “foreshore lands.”
the public domain; It bears stressing that the subject matter of Pasay City Ordinance No. 121,
• That the applicants by themselves or through their predecessors- as amended by Ordinance No. 158, and the Agreement under attack, have
in- interest have been in open, continuous, exclusive and notorious been found to be outside the intendment and scope of RA 1899, and
possession and occupation; an therefore ultra vires and null and void.
• That such possession is under a bona fide claim of ownership since
June 12, 1945 or earlier. CHAVEZ v. PEA
To allow vast areas of reclaimed lands of the public domain to be
HEIRS OF LACAMEN v. HEIRS OF LARUAN transferred to Amari as private lands will sanction gross violation of the
Laruan sold property to Lacamen (both illiterate non-Christians) without constitutional ban on private corporations from acquiring any kind of
the approval of the Commissioner of Mindanao and Sulu. Everything was alienable land of the public domain. The Constitution allows private
cool until 30 years later when Laruan’s heirs procured a new OCT, alleging corporations to hold alienable lands of the public domain only through
that their copy was lost. Lacamen’s heirs sued Laruan’s heirs. The latter lease.
invoked the non- approval of the Commissioner as their defense. Court said
that the non- approval was the only “drawback” which the heirs of Laruan DIRECTOR OF LANDS v. IAC
took advantage of as their lever to deprive Lacamen’s heirs of the land and the provision barring private companies and associations from purchasing
that their motive is out of greed. As between Lacamen and Laruan, the sale public alienable lands in 1973 Constitution is applicable retroactively? –
was regular. While a person may not acquire title to the registered property NO. The prohibition does not apply to Acme. Acme had already obtained
through continuous adverse possession, in derogation of the title of the vested rights under the 1935Constitution when it purchased the land from
original registered owner, the heir of the latter, however, may lose his right the Infiels. The provision in the 1973 Constitution prohibiting
to recover back the possession of such property by reason of latches. the purchase of alienable public lands by private corporations or
associations cannot be retroactively applied.
BINALAY v. MANALO
Manalo claims the lot (river beds) by way of accretion. Bawal. The land DIRECTOR OF LANDS v. ABAIRO
being claimed are river beds and therefore part of the public domain. Art. OSG questions the decision of the TC confirming the ownership of Abairo
420 of the Civil Code states that rivers are property of the public domain. of a parcel of land. It contends that Abairo filed for confirmation on March
Therefore, Faustina, the person Manalo bought the property from, never 1, 1971, after December 31, 1968, the date set by R.A. No. 2061 as the time
actually owned that part of the land since it was public property. limit for the judicial confirmation of imperfect and incomplete titles like
that of applicant, and before the effectivity on June 19, 1971, of R.A. No.
REPUBLIC v. CA (1998) 6236 extending the time limit for such purpose. OSG is wrong. It is clear
The Court ruled that it is erroneous and unsustainable to uphold the from the law itself that those who applied for judicial confirmation of their
opinion of the respondent court that the term “foreshore land” includes the titles at any time prior to the cutoff date of December 31, 1976 (as provided
submerged areas. To repeat, the term "foreshore lands" refers to: The strip for in R.A. No. 6236) did so on time, even if such application were filed
of land that lies between the high and low water marks and that is during the intervening period from January 1, 1969 to June 18, 1971, like
alternately wet and dry according to the flow of the tide. A strip of land
the application of respondent Abairo, who instituted the same on March 1,
1971. CHEESEMAN v. IAC
White guy married Filipina. Filipina acquired property believing she is sole
OH CHO v. DIRECTOR OF LANDS owner. White guy then filed suit with CFI for annulment of sale because it
1. There must first be an application for registration before a decree was executed without his knowledge and consent. Denied! The
of registration to issue under the Public Land Act. Constitution prohibits the sale to aliens of residential land.Assuming that
2. Under 1the provisions of the Public Land Act invoked by the it was Thomas’ intention that the property be purchased by him and
applicant, he is not entitled to a decree of registration of the lot, Criselda, he acquired no right whatsoever over the property by virtue of
because he is an alien disqualified from acquiring lands of the the purchase. and in attempting to acquire right or interest in land,
public domain. vicariously or clandestinely, he knowingly violated the Constitution; the
sale as to him is void.
REPUBLIC v. CA and LAPINA
Can a foreign national apply for registration of title over a parcel of land
which he acquired by purchase while still a citizen of the Philippines, from MULLER v. MULLER
a vendor who has complied with the requirements for registration under German married Filipina. Separated. TC ruled for separation of properties
the Public Land Act (CA 141)? Yes. Torrens system was not established as and ordered equal partition, including property in Antipolo acquired by
a means for the acquisition of title to private land (Municipality of Victorias German’s own funds. TC however ruled that German can’t recover such
v. CA, 149 SCRA 32 [1987]). It merely confirms, but does not confer property because of the prohibition. SC affirmed. The argument that he is
ownership. As could be gleaned from the evidence adduced, private merely asking for reimbursement cannot also prosper because it is only the
respondents were able to establish the nature of possession of their inverse of the purchase. TO give him back the money would allow him to
predecessors-in-interest. In the case at bar, private respondents were profit from a purchase that he was not allowed to make.
undoubtedly natural-born Filipino citizens at the time of the acquisition of
the properties and by virtue thereof, acquired vested rights thereon, PHIL. BANKING CORP v. LUI SHE
tacking in the process, the possession in the concept of owner and the As a sign of gratefulness, Justina executed a contract of lease over a
prescribed period of time held by their predecessors-in-interest under the property to Wong (Chinese) for a period of 50 years with option to buy if
Public Land Act. In addition, private respondents have constructed a house Wong gets naturalized. SC said the contracts are VOID. A contract may be
of strong materials on the contested property, now occupied by respondent valid; however, if is against the constitution (e.g. foreign ownership of
Lapiñas mother. lands), such contract is considered null and void. It is clear that the
arrangement is a virtual transfer of ownership whereby the owner divests
HEIRS OF TENGCO v. HEIRS OF ALIWALAS himself in stages not only of the right to enjoy the land (jus possidendi, jus
A homestead patent, once registered under the LRA, becomes an utendi, jus fruendi and jus abutendi) but also of the right to dispose of it (
indefeasible as a Torrens Title. Aliwalas’ title to the property having jus disponendi).
become incontrovertible, it cannot be collaterally attacked. If there had
been any fraud or misrepresentation, the proper remedy is an action for RAMIREZ v. VDA. DE RAMIREZ
reversion instituted by the OSG. Wanda (alien) was granted usufructuary rights over a property by virtue
of a will. Pweds. The Constitutional provision which allows aliens to
CRUZ v. SEC. OF DENR (with sep. opinion of J. Puno) acquire lands by succession does not apply to testamentary succession. Any
Petitioners assail the constutionality of the IPRA because it grants alien would be able to circumvent the prohibition by paying money to a
ownership over natural resources to indigenous peoples. SC said IP rights Philippine landowner in exchange for a devise of a piece of land. However,
is an exception to the Regalian Doctrine. The existence of native title to an alien may be bestowed usufructuary rights over a parcel of land. A
land or ownership of land by Filipinos by virtue of possession under a claim usufruct, albeit a real right, does not vest title to the land in the
of ownership since time immemorial and independent of any grant from usufructuary and it is the vesting of title to the land in favor of aliens which
the Spanish Crown as an EXCEPTION to the theory of JURA REGALIA is proscribed by the Constitution.
(Carino vs. Insular Government)
TING HO JR. v. TENG GUI which authorized the acquisition of lands for religious purposes has been
Petitioner and respondent are siblings. Both claim title to the property. repealed by the Constitution for being incompatible.
Respondent claims that the property was sold to him by their father.
Petitioners contend that the respondent is only a dummy for their father REPUBLIC v. T.A.N. PROPERTIES
as the latter is a Chinese national. The right to acquire lands of the public There is an absolute prohibition for corporations to own land under the
domain is reserve for Filipinos or corporations at least 60% of the capital 1987 Constitution. But corporations may still acquire land if the same had
of which is owned by Filipinos. The father of the petitioners and respondent become private during the subsistence of the 1935 Constitution (no
was Chinese; therefore, he was disqualified from acquiring and owning real prohibition).
property in the Philippines. In fact, he was only occupying the subject
property by virtue of the permission granted him by the then US Naval ROMAN CATHOLIC APOSTOLIC ADMINISTRATOR OF DAVAO v.
Reservation Office of Olongapo. Therefore, the Decease (father) was never LAND REGISTRATION COMMISSION
the owner of the lot and respondent did not act as the dummy for his father. Sale of real property to Petitioner, a corporation sole organized and
existing in accordance with Philippines Laws, with Msgr. Clovis Thibault,
JG SUMMIT HOLDINGS v. CA a Canadian Citizen as actual incumbent is VALID. Although a branch of
The prohibition under Sec. 7, Art. XII of the Constitution applies only to the Universal Roman Catholic Apostolic Church, every Roman Catholic
ownership of land – it does not extend to immovable or real property as Church in different countries, if it exercises its mission and is lawfully
defined under Art .415 of the Civil Code. Respondent is not prohibited to incorporated in accordance with the laws of the country where it is located,
possess (it they exercise the right of first refusal) the disputed property. is considered an entity or person with all the rights and privileges granted
The right of first refusal over shares pertains to the shareholders whereas to such artificial being under the laws of that country, separate and distinct
the capacity to own lands pertains to the corporation. The fact the from the personality of the Roman Pontiff or the Holy See, without
respondent owns land cannot deprive stockholders of their right of first prejudice to its religious relations with the latter which are governed by
refusal. No law disqualifies a person from purchasing shares in a the Canon Law or their rules and regulations.
landholding corporation even if the latter will exceed the allowed foreign
equity, what the law disqualifies is the corporation from owning land. ARANDA v. REPUBLIC
Petitioner invoked Lui She case where the court invalidated the option to The Property Registration Decree (P.D. No. 1529) provides for original
buy because it amounted to a virtual transfer of ownership. This is not registration of land in an ordinary registration proceeding. Under Section
applicable in this case as the case at bar involves a right of first refusal 14(1) thereof, a petition may be granted upon compliance with the following
over shares of stock while Lui She involves an option to buy the land itself. requisites: (a) that the property in question is alienable and disposable
As discussed, there is a distinction between the shareholder’s ownership of land of the public domain; (b) that the applicants by themselves or through
shares and the corporation’s ownership of land arising from the separate their predecessors-in-interest have been in open, continuous, exclusive and
juridical personalities of the corporation and its shareholders. notorious possession and occupation; and (c) that such possession is under
a bona fide claim of ownership since June 12, 1945 or earlier.
RD OF RIZAL v. UNG SIU TEMPLE
RD refused to accept for record a deed of donation executed in favor of the HEIRS OF MALABANAN v. REPUBLIC
unregistered religious organization "Ung Siu Si Temple," operating Applicants under 14(1) of PD 1529 in relation to sec 48(b) of CA 141 acquire
through three trustees all of Chinese nationality. Yep. Donation was not ownership of, and registrable title to, such lands based on the length and
valid. Save in cases of hereditary succession, no private agricultural land quality of their possession. It is sufficient that the land be declared
shall be transferred or assigned except to individuals, corporations or alienable and disposable at the time of the filing for the application for
associations qualified to acquire or hold lands of the public domain in the judicial confirmation of imperfect title and the land need not be alienable
Philippines. The Constitution makes no exception in favor of religious and disposable during the entire period of possession.
associations. The fact that the appellant religious organization has no
capital stock does not suffice to escape the Constitutional inhibition, since MARTINEZ v. CA
it is admitted that its members are of foreign nationality. Also, Act 271, When the conditions under 48(b) of CA 141 are complied with, the
possessor is deemed to have acquired, by operation of law, a right to a
grant, without the necessity of a certificate of title being issued. The land, Sec. 6 of Commonwealth Act No. 141, the classification or reclassification
therefore ceases to be of the public domain, and beyond the authority of the of public lands into alienable or disposable, mineral or forest lands is now
Director of Lands to dispose of. The application for confirmation is a mere a prerogative of the Executive Department and not of the courts. With
formality, the lack of which does not affect the legal sufficiency of the title these rules, there should be no more room for doubt that it is not the court
as would be evidenced by the patent and the Torrens Title. which determines the classification of lands of the public domain but the
Executive Branch, through the Office of the President.
REPUBLIC v. HANOVER
An applicant for judicial confirmation of imperfect title under PD 1529, sec Furthermore, respondents cannot claim to have obtained their title by
14(1) in relation to CA 141, sec 48(b) must prove that the land forms part prescription since the application filed by them necessarily implied an
of the alienable and disposable lands of the public domain AND that they admission that the portions applied for are part of the public domain and
have been in OCEN possession and occupation of the same under a bona cannot be acquired by prescription, unless the law expressly permits it. It
fide claim of ownership since June 12, 1945 or earlier. Here, the applicant is a rule of law that possession of forest lands, however long, cannot ripen
is not entitled to registration because it had not proven possession since into private ownership.
1945, but had only proven such since 1965.
REPUBLIC v. HEIRS ALEJAGA
HEIRS OF MALABANAN v. REPUBLIC (supra) Once a patent is registered and the corresponding certificate of title issued,
Under 14(2) of PD 1529, applicants acquire ownership of the lands through the land covered by them ceases to be part of the public domain and
prescription in the Civil Code. However, the applicants may only acquire becomes private property. Further, the Torrens Title issued pursuant to
patrimonial lands of the public domain, which only become such after they the patent becomes indefeasible a year after the issuance of the
have been declared alienable and disposable and there must also be an latter. However, this indefeasibility of a title does not attach to titles
express government manifestation that the property is already patrimonial secured by fraud and misrepresentation. Well-settled is the doctrine that
or no longer retained for public service or the development of national the registration of a patent under the Torrens System does not by itself
wealth under Article 422 of the Civil Code. Only when the land has become vest title; it merely confirms the registrant’s already existing one. Verily,
patrimonial property can the prescriptive period for the acquisition of registration under the Torrens System is not a mode of acquiring
property of the public dominion begin to run. ownership.
MUNICIPALITY OF VICTORIAS v. CA There is but one instance when prescription cannot be invoked in an action
While an inherently defective Torrens title may not ordinarily be cancelled for reconveyance, that is, when the plaintiff or complainant (Madarieta or
even after proof of its defect, the law nevertheless safeguards the rightful respondents in this case) is in possession of the land to be reconveyed, and
party's interest in the titled land from fraud and improper use of the registered owner was never in possession of the disputed property. In
technicalities by allowing such party, in appropriate cases, to judicially the instant case, however, it is the rule rather than the exception which
seek reconveyance to him of whatever he has been deprived of as long as should apply. An action for reconveyance based on an implied or
the land has not been transferred or conveyed to a purchaser in good faith. constructive trust prescribes in 10 years from the issuance of the Torrens
title over the property, which operates as a constructive notice to the whole
Art. 1456, NCC – where the land is decreed in the name of a person world
through fraud or mistake, such person is by operation of law considered a
trustee of an implied trust for the benefit of the persons from whom the SALAO v. SALAO
property comes. In order to maintain an action for reconveyance, proof as to the fiduciary
relation of the parties must be clear and convincing.
Here the land in dispute is held by Norma in trust for the Municipality of Where a trust is to be established by oral proof, the testimony supporting
Victorias, it is logical to conclude that the Municipality can neither be it must be sufficiently strong to prove the right of the alleged beneficiary
deprived of its possession nor be made to pay rentals thereof. with as much certainty as if a document proving the trust were shown. A
trust cannot be established, contrary to the recitals of a Torrens title, upon
NAVAL v. CA vague and inconclusive proof.
Article 1544 of the Civil Code has no application to land not registered
under Torrens System. Here, the law applicable therefore is Act No. 3344, SPOUSES SANTOS v. HEIRS OF LUSTRE
which provides for the registration of all instruments on land neither The action for reconveyance on the ground that the certificate of title was
covered by the Spanish Mortgage Law nor the Torrens System. Under this obtained by means of a fictitious deed of sale is virtually an action for the
declaration of its nullity, which does not prescribe. An action for McElvy, 108 So. 820 [1926].) The judgment in such proceedings is
reconveyance will not prosper when the property to be reconveyed is in the conclusive only between the parties. (Sandejas v. Robles, 81 Phil. 421
hands of an innocent purchaser for value. [1948]). The ruling in this case is therefore without any prejudice to this
Court's final determination of G.R. No. L-46953 – a case involving the
PINO v. CA validity of the compromise agreement between the parties in this case.
If an action for reconveyance based on constructive trust cannot reach an
innocent purchaser for value, the remedy of the defrauded party is to bring SPOUSES MAMADSUAL v. MOSON
an action for damages against those who caused the fraud or were An action to quiet title is imprescriptible if the plaintiffs are in possession
instrumental in depriving him of the property. And it is now well-settled of the property. The rule is that the plaintiffs may wait until their
that such action prescribes in ten years from the issuance of the Torrens possession is disturbed or their title is attacked before they may take steps
Title over the property. to vindicate their right. The statute of limitation is not available as a
defense to an action to remove a cloud from title over property in possession
CAÑERO v. UP of the petitioners.
Petitioner's reconstituted title is his basis for filing the action to quiet title
against respondent UP. The reconstituted title and the proceedings The trial court held that in an action to quiet title, the plaintiff "must" have
from which it hailed from are, however, void. Judicial reconstitution legal or equitable title to, or interest in the real property which is the
of title partakes of a land registration proceeding. Thus, notice of the subject matter of the action. It interpreted legal title to mean registered
proceedings must be given in the manner set forth by the letter of the law. ownership and equitable title to mean beneficial ownership. Wrong. It is
A cursory perusal of the petition for reconstitution filed by petitioner, not necessary that the person seeking to quiet his title is the registered
clearly reveals that the adjoining property owners were never mentioned owner of the property in question. "Title" to property does not necessarily
and, hence, not notified. Respondent UP owns the entirety of the land mean the original transfer certificate of title. It can connote acquisitive
surrounding the lot in issue; yet it was not notified of the reconstitution prescription by possession in the concept of an owner thereof. Indeed, one
proceedings. It is hoary doctrine that defects in the notices required under who has an equitable right or interest in the property may also file an
the law to be sent to interested parties, deprive the court of jurisdiction. action to quiet title under the law.
The petitioner’s action to quiet title had already prescribed because he was SPS. RUMARATE v. HERNANDEZ
never [or was not able to show] in possession over the disputed lot. On the For an action to quiet title to prosper, two indispensable requisites must
other hand, UP was able to prove possession through the buildings and concur, namely: (1) The plaintiff has a legal or an equitable title to or
structures which it controls and maintains. interest in the real property subject of the action; and (2) The deed, claim,
encumbrance or proceeding claimed to be casting a cloud on his title must
FAJA v. CA be shown to be in fact invalid or inoperative despite its prima facie
It is an established rule that an action to quiet title to property in the appearance of validity or legal efficacy.
possession of plaintiff is inprescriptible. One who is in actual possession of
a piece of land claiming to be owner thereof may wait until his possession PAJOMAYO v. MANIPON
is disturbed or his title is attacked before taking steps to vindicate his It is the settled rule in this jurisdiction that where two certificates of title
right, the reason for the rule being, that his undisturbed possession gives are issued to different persons covering the same parcel of land in whole or
him a continuing right to the seek the aid of a court of equity to ascertain in part, the earlier in date must prevail as between the original parties,
and determine the nature of the adverse claim of a third party and its effect and in case of successive registration where more than one certificate is
on his own title, which right can be claimed only by one who is in possession. issued over the land, the person holding under the prior certificate is
entitled to the land as against the person who relies on the second
REALTY SALES ENTERPRISE v. IAC certificate. Here, Pajomayo’s OCT was issued in 1931 and Manipon OCT
Suits to quiet title are not technically suits in rem, nor are they, strictly only in 1957, hence Pajomayo OCT, and TCT thereafter prevails.
speaking, in personam, but being against the person in respect of the res,
these proceedings are characterized as quasi in rem. (McDaniel v.
REPUBLIC v. CA (1996) REPUBLIC v. VERA
It is settled that once a patent is registered and the corresponding A Cadastral proceeding is in rem. Parties are precluded from re-litigating
certificate of title is issued, the land ceases to be part of the public domain the same issues already determined by final judgment. One of the main
and becomes private property over which the Director of Lands will no purposes of a cadastral proceeding is to settle titles to lands. Anyone
longer have either control or jurisdiction. The Torrens Title issued on the claiming ownership of any land so affected should lay claim. Failure to do
basis of a free patent or homestead patent becomes as indefeasible as one so authorizes the court to declare the land public.
which was judicially secured upon the expiration of one year from date of
issuance of patent as provided in P.D. No. 1529.However, as held SPS. VERANGA v. REPUBLIC
in Director of Lands v. De Luna, even after the lapse of one year, the State No publication, then the decision is void for having beenrendered without
may still bring an action under the Public Land Act for the reversion to the jurisdiction. Cadastral proceedings, like ordinary registration proceedings,
public domain of lands which have been fraudulently granted to private are proceedings in rem, and are governed by the usual rules of practice,
individuals. procedure and evidence. A cadastral decree and a certificate of title are
issued only after the applicants prove all the requisite jurisdictional facts:
REPUBLIC v. CA (1997) that they are entitled to the claimed lot; that all parties are heard; and that
If a person is able to register land which cannot be registered under the evidence is considered. Publication is a step essential to the protection of
Torrens System, or when the Director of Lands did not have jurisdiction persons interested in the property which is intended to be included and
over the land because it is timber land, the grantee does not, by virtue of heard.
the certificate of title alone, become the owner of the land illegally
registered. The patent or title issued is void since the officer who issued it DURAN v. OLIVIA
had no authority to do so. A piece of land, registered through a homestead patent under the Land
Registration Act cannot be the subject matter of a cadastral proceeding and
Under these circumstances, the certificate of title may be ordered cancelled any title issued thereon is null and void. Cadastral court has no jurisdiction
and the cancellation may be pursued through an ordinary action therefore. over registered land.
The action cannot be barred by prior judgment of the land registration
court since the said court had no jurisdiction over the subject matter. MANOTOK REALTY, INC. CLT REALTY DEVELOPMENT CORP.
Jurisdiction of Cadastral Court is limited to:
Even granting that the Director of Lands was negligent in failing to oppose 1. Technical errors in the description of the lands provided they
the registration, it is a well-settled rule that the Republic is usually not do not impair the substantial rights of the registered owner and
estopped by mistake or error on the part of its officials or agents. cannot operate to deprive the registered owner of his title.
Consequently, the State may still seek cancellation of the title issued as 2. Determine between 2 parties who has a better right over the
such has not become indefeasible, for prescription cannot be invoked property or which of the conflicting titles should prevail
against the State. 3. Upon request of the registered owner, the cadastral court can
issue new title.
HEIRS OF LAZURIAGA v. REPUBLIC What is prohibited in a cadastral proceeding is the registration of land,
Publication is a condition sine qua non for the RTC acting as a cadastral already issued in the name of a person, in the name of another, divesting
court to acquire jurisdiction. Due publication is required to give notice to the registered owner of the title already issued in his favor, or the making
all interested parties of the claim and identity of the property to be of such changes in the title as to impair his substantial rights.
surveyed. And any additional territory or change in the area cannot be
included by amendment without new publication. But where the identity CAMPILLO v. CA
of the land and area of the claimed property is not the subject of the A sale of real estate, whether made as a result of a private transaction or
amendment but other collateral matters, new publication is not needed. of a foreclosure or execution sale, becomes legally effective against third
persons only from the date of its registration. Under the Torrens System,
registration is the operative act that gives validity to the transfer or creates
a lien upon the land. A bona fide purchaser for value of such property at
an auction sale acquires good title as against a prior transferee of same being a willful act of the registered owner, it is to be presumed that he is
property if such prior transfer was unrecorded at the time of the auction interested in registering the instrument and would willingly surrender his
sale. duplicate in order to accomplish such registration.
HEIRS OF MARASIGAN v. IAC However, where the owner refuses to surrender the duplicate, the
A prior deed of sale registered only after the annotation of a notice of lis grantee may file an adverse claim in the RD. The annotation of an adverse
pendens will not defeat the right of the plaintiff, who caused the annotation claim is a measure designed to protect the interest of a person over real
of the annotation of the notice, who subsequently obtains a favorable property where the registration of such interest or right is not otherwise
judgment. The first buyer who is late in registering the sale is bound by provided for by the law and serves notice and warning to third parties.
the outcome of the litigation since registration is operative act which Here, no effort was made to secure the duplicate from the mortgagee who
creates constructive notice to the whole world. Prior to the registration of was in possession of the TCT. And moreover since the instrument is a
the sale, it did not bind third persons. registerable instrument and no justifiable reason was shown why the deed
could not be registered, the remedy of adverse claim cannot substitute for
GARCIA v. CA registration.
The general rule is that in case of two certificates of title, purporting to
include the same land, the earlier in date prevails, whether the land SPOUSES CHU v. BENELDA ESTATE DEV’T. CORP.
comprised in the later certificate be wholly, or only in part, comprised in Absent proof to the contrary, a buyer relying on an apparently valid TCT
the earlier certificate. And in successive registration, the person claiming is presumed to be innocent purchasers for value and in good faith. For a
under the prior certificate is entitled to the estate or interest. The maxim cause of action to be sufficient against the buyer, the complaint must allege
prior est in tempore, potior est in jure (he who is first in time is preferred in that the buyer was aware of the defect in the title. Failure to prove bad
rights) is followed in land registration matters. faith on said purchaser who has acquired a title in his favor would make it
impossible for the court to render a valid judgment thereon due to the
In cases of involuntary registration, an entry in the day book [primary indefeasibility and conclusiveness of his title. The conclusiveness of the
entry book] is a sufficient notice to all persons even if the owner’s duplicate new title in Cunanan’s name is binding on the whole world, including the
certificate of title is not presented. In case of voluntary registration of spouses.
documents, an innocent purchaser for value of registered land becomes the
registered owner and the holder of the certificate of title, the moment he DBP v. ACTING RD OF NUEVA ECIJA
presents a notarized and valid deed of sale and the same is entered in the Entry alone produces the effect of registration, whether the transaction
day book and at the same time the owner’s duplicate certificate of title is entered is a voluntary or an involuntary one, so long as the registrant has
presented or surrendered, and pays the fees. complied with all that is required of him for purposes of entry and
annotation, and nothing more remains to be done but a duty incumbent
MINGOA v. LRA solely on the register of deeds. Therefore, without necessarily holding that
The date of mailing, as shown by the post office stamp or registry receipt, annotation of a primary entry on the original of the certificate of title may
of an instrument to the RD for purposes of registration should be be deferred indefinitely without prejudice to the legal effect of said entry,
considered the date of filing and receipt thereof by the RD. It is this date the Court rules that in the particular situation here obtaining, annotation
that should be entered in the primary entry book of the RD, which shall be of the disputed entry on the reconstituted originals of the certificates of
regarded as the date of its registration. title to which it refers is entirely proper and justified. To hold said entry
"ineffective," as does the appealed resolution amounts to declaring that it
RODRIGUEZ v. CA did not, and does not, protect the registrant (DBP) from claims arising, or
The deed of sale with assumption of mortgage is a voluntary instrument transactions made, thereafter which are adverse to or in derogation of the
and as such registration is the operative act to convey and affect the land. rights created or conveyed by the transaction thus entered. That, surely, is
Section 55 of PD 1529 requires the presentation of the owner’s duplicate a result that is neither just nor can, by any reasonable interpretation of
certificate of title for the registration of any deed or voluntary instrument. Section 56 of PD 1529 be asserted as warranted by its terms.
The reason for requiring the production of the owner’s duplicate is that,
DELA MERCED v. GSIS
When a judgment calls for the issuance of a new title in favor of the winning POWER COMMERCIAL AND INDUSTRIAL CORP. v. CA
party (as in the instant case), it logically follows that the judgment also The alleged “failure” of respondent spouses to eject the lessees is not
requires the losing party to surrender its title for cancellation. It is the only substantial breach. The presence of lessees does not constitute an
sensible way by which the decision may be enforced. To this end, encumbrance of the land, nor does it deprive petitioner of its control
petitioners can obtain a court order requiring the registered owner to thereof. We note, however, that petitioner’s deprivation of ownership and
surrender the same and directing the entry of a new certificate of title in control finally occurred when it failed and/or discontinued paying the
petitioners’ favor. GSIS’s objection that these orders cannot be enforced amortizations on the mortgage, causing the lot to be foreclosed and sold at
because they do not literally appear in the Decision in G.R. No. 140398 is public auction. But this deprivation is due to petitioner’s fault, and
unreasonable. GSIS would have the Court spell out the wheres, whys, and not to any act attributable to the vendor-spouses.
hows of the execution. GSIS wants a dispositive portion that is a step-by-
step detailed description of what needs to be done for purposes of execution. REPUBLIC v. CA (1997) - Supra
This expectation is unreasonable and absurd.
SAJONAS v. CA
EGAO v. CA The cancellation of the adverse claim is still necessary to render it
The SC holds that based on the adduced evidence, the Egaos sold the lot to ineffective, otherwise, the inscription will remain annotated and continue
Marfori within the 5-year restriction period provided by law on Free as a lien on the property. The reason why the law provides for a hearing
Patent based on the Deed of Sale entered into by the parties. Although the where the validity of the adverse claim is to be threshed out is to afford the
petitioners denied the validity of the Deed of Sale the court held that it was adverse claimant an opportunity to be heard, providing a venue where the
notarized and a notarial document has in its favor the presumption of propriety of his claimed interest can be established or revoked, all for the
regularity. When the land was sold to the respondents, they know that the purpose of determine the existence of any encumbrance on the title arising
OCT is still registered under the name of the petitioners. Thus, they are from such adverse claim. This is in line with the effect that no second
not considered to be innocent purchaser as contrary to the ruling of the CA. adverse claim shall be registered by the same claimant after cancellation.
DIAZ-DUARTE v. ONG
A private individual cannot bring an action for reversion or any action In a petition for cancellation of adverse claim, a hearing must first be
which would have an effect of canceling a free patent and the certificate of conducted. The hearing will afford the parties an opportunity to prove the
title issued on the basis thereof since the land covered will form part again propriety or impropriety of the adverse claim.7 Petitioner was unlawfully
of the public domain. Sec. 124 of the Public Land Act provides that deeds denied this opportunity when the Registrar of Deeds automatically
of sale of patented lands, perfected within the prohibited five (5) year cancelled the adverse claim. Needless to state, the cancellation of her
period are null and void thus the Egaos have no title to pass to Marfori and adverse claim is ineffective. Respondents cannot invoke good faith. The
nobody can dispose that which does not belong to him. The respondents are adverse claim of petitioner Rogelia Diaz-Duarte was annotated in
not innocent purchasers for value with no standing to question the rights Corregidor's title as early as October 17, 1979. It was existing when
of the petitioners over the land and to file an action to quiet the title. The Corregidor sold the property to respondents Ong on February 28, 1981.
petitioners remained to be the registered owners and entitled to remain in Hence, respondent spouses cannot be considered innocent purchasers for
physical possession of the disputed property. value and in good faith.
ARRAZOLA v. BERNAS The adverse claim here was ineffective because for an adverse claim to be
An adverse claimant must be one who claims any right or interest in valid it must be shown that a demand was made on the vendor and that he
registered land adverse to the registered owner, arising subsequent to the refused to surrender the owner’s duplicate certificate of title.
original registration. That interest is registerable as an adverse claim if no
other provision is made for its registration. The claim of a person that she SAJONAS v. CA - Supra
has hereditary rights in the land fraudulently registered in her sister’s
name because the land belonged to their mother, whose estate is pending CABUHAT v. CA
settlement in a special proceeding, is a registerable as an adverse claim. Just as an innocent purchaser for value, a mortgagee may rely on what
And even though the will is yet pending probate. The purpose of annotating appears on the face of the Torrens title. And when an innocent mortgagee
the adverse claim on the title to the disputed land is to apprise third acquires rights over the mortgaged property, the court cannot disregard
persons that there is a controversy over the ownership of the land and to such rights which must be respected and protected. A mortgagee has a
preserve and protect the right of the adverse claimant during the pendency right to rely in good faith on the certificate of title of the mortgagor of the
of the controversy. It is a notice to third persons that any transaction property given as security and in the absence of any sign that might arouse
regarding the disputed land is subject to the outcome of the dispute. suspicion, has no obligation to undertake further investigation. Hence,
even if the mortgagor is not the rightful owner of, or does not have a valid
CHING v. ENRILE title to, the mortgaged property, the mortgagee in good faith is nonetheless
An adverse claim remains effective even after the lapse of the 30-day period entitled to protection.
as long as it isn’t cancelled. Where a party has knowledge of a prior existing
CLEMENTE v. RAZO purchasers for value. While the general rule is that an action to recover
Any buyer or mortgagee of realty covered by a Torrens certificate of title, lands of the public domain is imprescriptible, said right can be barred by
in the absence of any suspicion, is not obligated to look beyond the laches or estoppel. Section 32, PD 1529 recognizes rights of innocent
certificate to investigate the titles of the seller appearing on the face of the purchasers over and above the interests of the government.
certificate. And, he is charged with notice only of such burdens and claims
as are annotated on the title.
GUARANTEED HOMES v. HEIRS OF VALDEZ
However, when the party has actual knowledge of facts and circumstances It is basic that a person dealing with registered property need not go
that would impel a reasonably cautious man to make such inquiry or when beyond, but only has to rely on, the title of his predecessor-in-interest.
the purchaser has knowledge of a defect or the lack of title in his vendor or Since "the act of registration is the operative act to convey or affect the
of sufficient facts to induce a reasonably prudent man to inquire into the land insofar as third persons are concerned,” it follows that where there is
status of the title of the property in litigation. The presence of anything nothing in the certificate of title to indicate any cloud or vice in the
which excites or arouses suspicion should then prompt the vendee to look ownership of the property, or any encumbrance thereon, the purchaser is
beyond the certificate and investigate the title of the vendor appearing on not required to explore farther than what the Torrens title upon its face
the face of said certificate. One who falls within the exception can neither indicates in quest for any hidden defect or inchoate right that may
be denominated an innocent purchaser for value nor a purchaser in good subsequently defeat his right thereto.
faith; and hence does not merit the protection of the law.
It is enough that petitioner had examined the latest certificate of title
ESTATE OF OLAGUER v. ONGJOCO which in this case was issued in the name of the immediate transferor, the
According to the provisions of Art. 1874 of the civil code, when the sale of spouses Rodolfo. The purchaser is not bound by the original certificate but
a piece of land or any interest therein is made through an agent, the only by the certificate of title of the person from whom he had purchased
authority of the latter shall be in writing. Absent this requirement, the sale the property.
shall be void. Also under Art 1878, a SPA is necessary in order for an agent Even assuming arguendo that the extrajudicial settlement was a forgery,
to enter into a contract by which ownership of an immovable is transmitted the Court still has to uphold the title of petitioner. The case law is that
or acquired, either gratuitously or for value. Here, the good faith of Ongjoco although generally a forged or fraudulent deed is a nullity and conveys no
hinges on the existence of the written power of attorney. title, there are instances when such a fraudulent document may become
the root of a valid title. And one such instance is where the certificate of
While the law requires a SPA, the GPA was sufficient as the agent was title was already transferred from the name of the true owner to the forger,
expressly empowered to sell any of the principal’s properties. Even if a and while it remained that way, the land was subsequently sold to an
document is designated as GPA, the requirement of SPA is met if there is innocent purchaser. For then, the vendee had the right to rely upon what
a clear mandate from the principal specifically authorizing the appeared in the certificate.
performance of the act. The SPA can be included in the general power when
the act or transaction for which the special power is required is specified SAN ROQUE v. REPUBLIC
therein. The adverse claim of the Republic by virtue of the expropriation
proceedings will not defeat the rights of San Roque which acquired the
ESTATE OF YUJUICO v. REPUBLIC subject lot for value and free from any lien and without knowledge of the
Equitable estoppel may be invoked against public authorities when as in Republic’s adverse claim. The Republic’s claim may have given San Roque’s
this case, the lot was already alienated to innocent purchasers for value predecessors-in-interest, the sellers, voidable title to the subject properties.
and the government did not undertake any act to contest the title for an However, prior to the acquisition by San Roque, the lot had been
unreasonable length of time. Where the title of an innocent purchaser for subdivided and covered by separate titles of the subsequent transferees.
value who relied on the clean certificates of the title was sought to be These titles, which includes the subject properties, have not been voided at
cancelled and the excess land to be reverted to the Government, we ruled the time of the sale to San Roque. As such San Roque acquired good title,
that it is only fair and reasonable to apply the equitable principle of having purchased them in good faith and for value and without notice of
estoppel by laches against the government to avoid an injustice to innocent the seller’s defect of title, if any.
ABAD v. GUIMBA Such is not the situation of petitioner, who has been the victim of impostors
The law requires a higher degree of prudence from one who buys from a pretending to be the registered owners but who are not said owners. The
person who is not the registered owner, although the land object of the doctrine of mortgagee in good faith does not apply to a situation where the
transaction is registered. While one who buys from the registered owner title is still in the name of the rightful owner and the mortgagor is a
does not need to look behind the certificate of title, one who buys from one different person pretending to be the owner. In such a case, the mortgagee
who is not the registered owner is expected to examine not only the is not an innocent mortgagee for value and the registered owner will
certificate of title but all factual circumstances necessary for one to generally not lose his title.
determine if there are any flaws in the title of the transferor, or in the
capacity to transfer the land. The same rule applies to mortgagees. EXPRESSCREDIT FINANCING v. VELASCO
To fulfill the requirement of good faith, it is imperative for a mortgagee of
Here, Abad the mortgagee failed to inquire into the authority of dela Cruz the land, in the possession of persons not the mortgagor, to inquire and
to mortgage the property. And even if dela Cruz pretended to be Guimba, investigate into the rights or title of those in possession. It is true that a
Abad failed to inquire into the identity of the person he was dealing with. person dealing with the owner of registered land is not bound to go beyond
Abad is in Bad Faith. the certificate of title. He may rely on the notices of the encumbrances on
(Note: To be considered as an IPV, the seller must be the registered owner the property annotated on the certificate of title or absence of any
himself.) annotation. However, we note that the Garcia spouses are unlike other
mortgagors. They are in the business of constructing and selling
townhouses and are past masters in real estate transactions. Further,
CORONEL v. IAC petitioner is in the business of extending credit to the public, including real
The simple possession of a certificate of title, under the Torrens System, estate loans. In both these businesses, it devolves upon both, greater
does not necessarily make the possessor a true owner of all the property charge than ordinary buyers or encumbrancers for value, who are not in
described therein. If a person obtains a title, under the Torrens system, such venture. It is standard in their business, as a matter of due diligence
which includes by mistake or oversight land which cannot be registered required of banks and financing companies, to ascertain whether the
under the Torrens systems, he does not, by virtue of said certificate alone, property being offered as security for the debt has already been sold to
become the owner of the lands illegally included. The buyer does not own another to prevent injury to prior innocent buyers. They also have the
the land mistakenly included in the TCT issued to him. resources to ascertain any encumbrances over the properties they are
dealing with. Here, EFC through its agents who made an ocular inspection
ERENA v. QUERRER-KAUFFMAN were already informed of the previous sale of the land to Velasco’s but
Indeed, a mortgagee has a right to rely in good faith on the certificate of despite knowledge of the unregistered sale still accepted the mortgage.
title of the mortgagor of the property given as security and in the absence EFC was a mortgagee and purchaser in bad faith.
of any sign that might arouse suspicion, has no obligation to undertake
further investigation. Hence, even if the mortgagor is not the rightful FRANCISCO v. CA [153 SCRA 330]
owner of, or does not have a valid title to, the mortgaged property, the There were in a word sufficiently strong indications to impel a closer
mortgagee in good faith is nonetheless entitled to protection. inquiry into the location, boundaries and condition of the two (2) smaller
lots embraced in the purchase on the part of Casimiro Espiritu and his co-
This doctrine presupposes, however, that the mortgagor, who is not the vendees. That inquiry is in truth dictated by common sense, expected of a
rightful owner of the property, has already succeeded in obtaining a man of ordinary prudence. "The earth," it has been said, is "that universal
Torrens title over the property in his name and that, after obtaining the manuscript open to the eyes of all. When a man proposes to buy or deal
said title, he succeeds in mortgaging the property to another who relies on with realty his first duty is to read this public manuscript, that is, to look
what appears on the said title. The innocent purchaser (mortgagee in this and see who is there upon it, and what are his rights.
case) for value protected by law is one who purchases a titled land by virtue
of a deed executed by the registered owner himself, not by a forged deed, as Had that inquiry been made, the adverse claim of Candido Francisco over
the law expressly states. the two (2) small lots would have immediately come to light, and the
controversy would have died a-borning The Espiritus failure to undertake only to purchasers for value and in good faith, as well as to mortgagees of
such an inquiry precludes their successful invocation of the character of the same character and description.
purchasers in good faith. "A want to caution and diligence which an honest
man of ordinary prudence is accustomed to exercise in making purchases
is, in contemplation of law, a want of good faith." The buyer who could not SANCHEZ v. QUINIO [463 SCRA 471]
have failed to know or discover that the land sold to him was in the adverse It is a settled rule that when two certificates of title are issued to different
possession of another, is a buyer in bad faith, such knowledge being persons covering the same land in whole or in part, the earlier in date must
equivalent to registration. prevail, and, in case of successive registrations where more than one
certificate is issued over the land, the person holding a prior certificate is
LEPANTO CONSOLIDATED v. DUMYUNG entitled to the land as against a person who relies on a subsequent
A certificate of title is void when covers property of the public domain certificate.
classified as forest or timber and mineral lands. And any title issued on As between two persons both of whom are in good faith and both innocent
non-disposable lots even in the hands of alleged innocent purchaser for of any negligence, the law must protect and prefer the lawful holder of
value, shall be cancelled. A transferee can set up the defense of IPV but the registered title over the transferee of a vendor bereft of any transmissible
applicant himself cannot. rights.
Tio were without actual knowledge of the claim of Abayata, which was not
discoverable by them, after examining the title, its annotations and after
an inspection of the property. The Bank led them to believe that the
possessors were mere squatters on the land. Tio is entitled to the status as
innocent purchasers for value.
TORRES v.CA
Moreover, even if we grant Mota the status of an innocent mortgagee, the
doctrine relied upon by the appellate court that a forged instrument may
become the root of a valid title, cannot be applied where the owner still
holds a valid and existing certificate of title covering the same interest in
a realty. The doctrine would apply rather when the forger thru insidious
means obtains the owner's duplicate certificate of title, converts it in his
name, and subsequently sells or otherwise encumbers it to an innocent
holder for value, for in such a case the new certificate is binding upon the
owner (Sec. 55, Act 496; Sec. 53, P.D. No. 1529). But if the owner holds a
valid and existing certificate of title, his would be indefeasible as against
the whole world, and not that of the innocent holder's. ‘Prior tempore potior
jure.’